Legendary anime director Hayao Miyazaki received an honorary Oscar for his years of contributions to the motion picture industry at a ceremony last Sunday. Miyazaki is the second Japanese citizen to win an honorary Oscar, the first being director Akira Kurosawa in 1990.

Along with the honorary Oscar, Miyazaki was interviewed by Japanese film expert Mark Shilling for Variety, where he talked about a variety of subjects, including his current projects, his retirement, and the industry overall.

He is quoted as saying he will continue to make short films for the Ghibli Museum, but he refused to comment on the state of Studio Ghibli as a whole, saying “I don’t want to get involved in that sort of thing.”

On the state of the animation industry overall, Miyazaki said, “The kind of animation… made with paper and pencils is dying… There’s nothing inherently wrong or right about a method, whether it be pencil drawings or 3D CG. Pencil drawings don’t have to go away, but those who continue to use the medium lack talent. So sadly, it will fade away.”

Miyazaki started his career at Toei Animation, where he worked on titles like Gulliver’s Travels Beyond the Moon and Hols: Prince of the Sun, directed by Isao Takahata, with whom he would later found Studio Ghibli. Miyazaki’s Spirited Away won the Oscar for best animated film in 2003.